2020 Cocoa No-Deforestation & Agroforestry Action Plan Progress Report
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Cocoa No-Deforestation &
Agroforestry Action Plan
Progress Report
2020
Content
Foreword3
Ou r C ommit ment 4
Ou r Approach 5
No -Deforestat ion & Ag roforest r y Ac t ion Pla n – Prog ress 2 02 0 6
Ke y Per for ma nc e I nd ic ators 7
O u r ach ie vement s 11
St at u s of No -Defore st at ion & Ag rofore st r y Ac t ion Pla n p er or ig i n 15
Insig ht: C ol lec t ive Ac t ion t hroug h t he L a ndsc ape Approach 18
T he C ocoa & Forest Init iat ive – Prog ress 2 02 0 19
Key cha l lenges a nd way for wa rd 21
A n nex : T he C ocoa & Forest Init iat ive – Deta i ls 25
P rog re s s Tr ac k i ng Table – Gha na 26
P rog re s s Tr ac k i ng Table – C ote d ’ Ivoi re 29
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Foreword
Increased production of cocoa, especially in West Africa, source any cocoa from protected areas and to avoid con- achieved progress in scaling activities and increasing our
has so far unfortunately gone hand in hand with the loss version of valuable forest land for cocoa production in our efforts towards collective action. This included capacity
of tropical forests. Deforestation causes biodiversity loss, supply chain. Our ▶ No-Deforestation & Agroforestry Ac- building for field staff and farmers, the distribution of
fosters climate change, and affects cocoa farmers’ liveli- tion Plan, launched in 2019, covers all of our cocoa origins. shade trees and promotion of agroforestry, and joining proj-
hoods. Tropical forests have inherent value, and they also The long-term nature of our engagement with cocoa ects with a Landscape Approach to address deforestation.
provide critical ecosystem services for neighbouring ag- farmers – specifically those in the Lindt & Sprüngli Farm- This report shares our progress towards reaching our
ricultural production. Biodiverse forests absorb carbon ing Program – provides the basis for tackling deforesta- ambition of a deforestation-free cocoa supply chain by
dioxide, help to stabilize the climate, and regulate the tion in our cocoa supply chain. During the first year of 2025 (which means for us covered by a fully implemented
water cycle by contributing to local rainfall. They also implementation of the Action Plan, we developed proce- No-Deforestation & Agroforestry Action Plan), and high-
protect farmers against floods, drought, and soil erosion, dures, piloted and launched new activities, deepened our lights our achievements, challenges, and key learnings to
among countless other benefits. Yet, forests continue to understanding, and learned how to best approach each guide our journey in the coming years.
be lost and degraded at alarming rates. activity. Details can be found in the ▶ No-Deforestation &
To contribute to ending deforestation and forest deg- Agroforestry Progress Report 2019. 2020 marked the sec-
radation, Lindt & Sprüngli has comitted to ensure to not ond year of implementation. Building on a solid basis, we
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Our Commitment
Lindt & Sprüngli implements its commitment to source
all its cocoa from areas free from deforestation by 2025
(= covered by a fully implemented No-Deforestation &
Agroforestry Action Plan) 1 through our No-Deforestation
& Agroforestry Action Plan and in collaboration with our
supply chain partners. The Action Plan outlines four
primary objectives:
No cocoa sourcing from
protected areas as per
local laws
No expansion of land for cocoa cultiva-
tion into areas defined by the High
Carbon Stock Approach or equivalent
Agroforestry systems for
cocoa production
Supporting (community) forest
protection and restoration
1
ur goal to source all cocoa free of deforestation means by 2025 we will fully implement the multiple measures defined in the Action Plan to prevent deforestation and promote agroforestry. Already since 2019, farmers in our
O
supply chain are no longer allowed to clear forest. One of the first measures implemented as part of the Action Plan was, based on farm mapping and overlaying of these maps with protected areas, to immediately stop sourcing
from protected areas as per local laws and to introduce new processes to control and prevent Program farmers are involved in clearing land in protected land or HCV/HCS areas. The Action Plan is a long-term process to work
towards our commitment. As we assume responsibility of our supply chain and work with traceability and segregation (not based on the Mass-Balance approach), the implementation of a sustainability program is a pre-requisite
for compliance with the Action Plan. We are currently working on achieving our target of 100% sustainably source cocoa by 2025. Along with the increase of sustainably sourced cocoa, the Action Plan will be implemented
stepwise in all supply chains. The implementation of these processes in the cocoa bean supply chain is reviewed annually as part of the Earthworm Foundation's external assessment of the Farming Program.
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Our Approach
We operationalize our commitment through the ▶ No-
Deforestation & Agroforestry Action Plan for cocoa. The ▶ World Cocoa Foundation (WCF); ▶ IDH, the Sus-
Separate action plans are in place for each of our cocoa tainable Trade Initiative; and the governments of Côte
origins, adapting the global Action Plan to the local d’Ivoire and Ghana drive the Cocoa & Forests Initia-
context. The Cocoa & Forests Initiative (CFI): Collective tive. The Prince of Wales launched the Initiative in
For cocoa beans, country-specific action plans are in- Action to End Cocoa-Related Deforestation March 2017 and reviewed implementation progress in
corporated into our sustainability program for cocoa The governments of Côte d’Ivoire and Ghana and 35 November 2018.
beans, the ▶ Lindt & Sprüngli Farming Program. This Pro- leading cocoa and chocolate companies, representing Deforestation of tropical rainforests is a major issue
gram is implemented together with our suppliers and 85% of global cocoa usage, have joined together in the in Côte d’Ivoire and Ghana, which together produce
other partners. To ensure efficient integration, the Action ▶ Cocoa & Forests Initiative to end deforestation and nearly two-thirds of the world’s supply of cocoa, the
Plan elements are structured along the four pillars of the restore forest areas. Their combined actions play a cru- main ingredient in chocolate. ▶ Côte d'Ivoire and
Lindt & Sprüngli Farming Program: Traceability & Farmer cial role in sequestering carbon stocks in West African ▶ Ghana respectively lost 25% and 8% of their humid
Organization, Training and Knowledge Transfer, Farmer forests and addressing climate change, in line with the primary forest between 2002 – 2019, with a significant
Investments & Community Development and finally, Ver- Paris Climate Agreement. The Cocoa & Forests Initia- portion of deforestation attributable to cocoa farming
ification & Continuous Progress. tive delivers on Sustainable Development Goal 13 (Cli- expansion.
Cocoa-driven deforestation is of particular relevance mate Action) and 15 (Life on Land). Cocoa provides crucial employment and income to
in West Africa, where most cocoa is grown. Working to- The Cocoa & Forests Initiative is a public private smallholders in West Africa. An accelerated transition
wards no-deforestation and agroforestry therefore re- partnership based on frameworks for action (▶ Côte to sustainable livelihoods is essential for ensuring their
quires commitments from all actors with influence on the d’Ivoire and ▶ Ghana) and action plans for the private long-term economic security. Thanks to public and
forest landscapes. Implementing effective measures – such sector (▶ Côte d’Ivoire and ▶ Ghana) and public sector private sector actions, notably through the Cocoa &
as formalized forest management plans and improved (▶ Côte d’Ivoire and ▶ Ghana) that spell out commit- Forests Initiative, this transition is under way, with
governance for forest protection – is a shared responsibil- ments to: recent reports (from ▶ Global Forest Watch and the
ity and requires coordinated and collaborative efforts of — protect and restore forests, ▶ United Nations) showing that the rate of primary for-
governments, companies, and civil society organizations. — promote sustainable cocoa production and est loss was halved in both Côte d’Ivoire and Ghana
In 2017, Lindt & Sprüngli became signatory of the Cocoa farmers’ livelihoods, from 2018 to 2019.
& Forest Initiative (CFI), a regional public-private part- — engage communities and boost social inclusion.
nership. Our cocoa beans and cocoa butter sourced
through a sustainability program from Ghana and Côte
d’Ivoire are covered by our commitment to the Cocoa &
Forests Initiative (CFI). Based on the CFI framework, we
have committed to multi-year CFI targets (see annex with
our targets on page 25) and annual action plans, which
are integrated into our sustainability programs for cocoa
beans and butter in both countries. L I N D T & S P RÜ N G L I
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No-Deforestation & Agroforestry
Action Plan – Progress 2020
Despite the challenges associated with the global Covid-19 pandemic causing a
variety of restrictions affecting work with farmers in the field, we made
considerable progress together with our suppliers and partners. Good progress
was made in terms of scaling activities, establishing management processes,
and strengthening key intervention areas in accordance with the results from our
internal progress analysis and external verification. We further engaged in
increasing collaborative action to scale our efforts beyond farm-level.
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Key Performance Indicators
The indicators below track key progress towards the goals We are proud that after 12 years of groundwork, we suc-
of our No-Deforestation & Agroforestry commitment. cessfully achieved our cocoa bean commitment in 2020:
100% of the cocoa beans we source come from a fully
traceable and externally verified supply chain. The Farm-
No-Deforestation & Agroforestry Action Plan Indicators ing Program is implemented in all five of our cocoa bean
Scope: all cocoa (beans, butter, powder, finished chocolate). ICCO conversion rates used.
origins, typically with multiple suppliers per country.
Indicator 2019 2020 Goal 2025 Further, we increased the percentage of segregated and
% of cocoa (in volume) sourced from farmers covered by a 56% 63% 100% verified cocoa butter from 27% in 2019 to 33% in 2020,
“No-Deforestation & Agroforestry Action Plan” 2
and continued to improve and expand our sustainable
% of cocoa (in volume) sourced from farms proven not to be 47% 60% 100%
located in protected areas as per local laws 3
cocoa butter programs. These improvements resulted in
% of cocoa (in volume) sourced from farmers covered by a fully 0% 0% 100%
63% 4 of our cocoa products (beans, butter, powder and
implemented “No-Deforestation & Agroforestry Action Plan” finished chocolate) being sourced through sustainability
# of shade trees distributed through sustainable cocoa sourcing Programs 484,332 876,036 Farmers have avg. programs and covered by a No-Deforestation & Agrofor-
25 shade trees per estry Action Plan. The volume of cocoa sourced from
# since start of Programs 1,387,067 2,263,103 hectare on farms
farms proven not be located in protected areas as per local
laws is slightly lower at 60%, because some farms in the
most important supply chain in Ghana still need to be
mapped and undergo legality checks, while in Ecuador
some farms will only be counted once they are more close-
ly monitored and supported (see details page 8).
The implementation of the Action Plan is a long-term
process, we do not yet have any cocoa volumes covered by
a fully implemented Action Plan to report. However, a
considerable effort was made to increase the scale and
speed of shade tree distribution. 876,036 shade trees were
distributed in 2020, which represents an 80% increase
compared to 2019.
2
overed by a No-Deforestation Action Plans means that a supply chain
C
is either covered by our own action plan, by CFI or both.
3
lease note that this indicator does not mean that the rest of the cocoa
P
comes from protected areas. Our cocoa supply chain is not yet fully
traceable, and GPS mapping of farmers is still ongoing.
4
using the ICCO conversion factors
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Indicators from Lindt & Sprüngli Farming Program Theory of Change
Scope: 100% of our cocoa bean sourcing supply chain (=from the Lindt & Sprüngli Farming Program).
Total number of farmers in Program was 79,979 in cocoa season 2019/20.
Indicator 2019 2020 Goal 2025
# of farmers proven not to be located in protected areas as per local laws 5 58,124 (74%) 75,625 (95%) 100%
# of farmers with minimum 25 permanent shade trees per hectare 10,584 (13%) 10,870 (13%) 100%
# of farmers with minimum 5 permanent shade tree species per hectare 41,711 (52%) 41,952 (52%) 100%
Average number of permanent shade trees per hectare 13 15 25
Average number of shade tree species per hectare 4 4 5
We have made considerable progress in the Farming Pro-
gram supply chains regarding our commitment to not
source from any farmers located in protected areas. GPS
mapping (points or polygons) and legality checks of the
last 5% of farmers are ongoing. Part of those are some
farmers in Ecuador, who are located in protected areas.
The concerned areas are not National Parks or Reserves
but do include High Conservation Value (HCV) areas, for
example around important watersheds where agricultural
production is permitted by the government. The con-
cerned Farming Program farmers hold government per-
mits to operate in these areas, which was reviewed as part
of the legality check. We are currently implementing
additional support and provide guidance for the farmers
in these areas to make sure their farming practices are in
line with conservation principles. They will only be count-
ed as fully compliant once they are completely covered by
additional support and monitoring.
5
lease note that this indicator does not mean that the rest of the farmers
P
are located in protected forests as per local laws. GPS mapping of farms
did not yet cover 100% of farmers in the Program at the end of season
2019/20.
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The Farming Program indicators also show our progress
regarding the promotion of agroforestry systems. Com-
pared to season 2018/19, a considerable increase in shade
trees and shade tree species on farms has been registered.
However, our data analysis and reliability checks revealed
that this data may not be fully reliable. Data collection in
field is challenging, and sample and measurement meth-
odologies differ across origins. Because the internal mon-
itoring and data collection process was already finished
by the time of reporting, re-collection and on-site verifi-
cation of data was not possible. As an immediate action,
we will develop additional guidance on data collection
and aggregation of agroforestry indicators for the field
staff and engage our suppliers to streamline the data col-
lection, analysis and reporting process for the next season.
In parallel, we are actively supporting technical solu-
tions to measure this kind of data (see page 21). We are
collaborating with the ▶ Swiss Federal Institute of Tech-
nology (ETH) to develop methods to remotely measure
shade levels and reliably monitor our progress and con-
tribution to agroforestry. Upon completion of this project,
we hope to be able to measure and report on the indicator
# of farmers with minimum 30% shade cover on cocoa
farms. Read more about this project in the respective
▶ Project Fact Sheet.
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Achievements within the Farming Program (cocoa beans) since 2008
(Indicators by end of September 2020 – end of 2019/20 cocoa season)
100%
of sourced cocoa beans are
443
field staff financed by the
5 origins
of cocoa
79,979
farmers participating in the
traceable and externally Farming Program support beans covered Farming Program across
verified in 2020 and advise the farmers all countries of origin
Higher productivity Diversified long-term incomes and increased
on farms resilience of farming households
158
cocoa farming model farms
10,961
farmers with additional income-
5,990,841 generating activities since start
cocoa seedlings distributed of the Program
since start of the Program
3,014
(with 325,095 cocoa seedlings
distributed in 2019/20 cocoa
21,883 community members partici-
farmers trained in additional pating in a total of 137 Village
season) income-generating activities Savings and Loan Associations
since start of the Program (VSLAs) or equivalent
Conservation of biodiversity and natural ecosystems
1,940,122
shade tree seedlings distributed
67,462 since start of the Program
farmers with all farms (666,048 distributed in 2019/20
GPS located cocoa season)
41,952
(52%) farmers with at least
4 5 permanent shade tree
shade tree species per species per hectare
hectare on average
10,870
15 (14%) farmers with at least
permanent shade trees 25 permanent shade trees
per hectare on average per hectare
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Our achievements
Based on the solid groundwork laid in the first year of
implementation, 2020 marked our second year of imple-
mentation of the Action Plan. For our cocoa bean supply
chains, implementation was done by 443 field staff
financed by the Lindt & Sprüngli Farming Program in the
countries of origin. The field staff is responsible for im-
plementing the guidelines of the No-Deforestation &
Agroforestry Action Plan into practice. Our local imple-
mentation partners were sensitized to the concepts and
topics of the action plan (such as agroforestry), and ac-
companied by select specialist organizations, including
the ▶ Earthworm Foundation, ▶ ECOTOP or ▶ ICRAF to
develop their knowledge and capacity to implement the
Action Plan. For years, Lindt & Sprüngli has built part-
nerships with several organizations, including ▶ NCRC,
▶ Helvetas or ▶ WCF, to create synergies and connect the
Program in different origins to other relevant local sus-
tainability initiatives.
Traceability and farm mapping
Through implementation of the Lindt & Sprüngli Farm- to ensure that we are not sourcing cocoa from forests or
ing Program over the years, suppliers have built robust protected areas. Today, 95% of our Farming Program
traceability systems for our sustainable cocoa to ensure farmers across all five cocoa bean origins have GPS plot-
it is clearly marked and traceable back to farmers. Trace- ted or mapped the boundaries (“polygon”) of all their
ability systems are now fully in place and all of the Action farms. In the CFI countries, mapping has been finalized
Plan requirements are integrated into Farming Program for 80% of farmers in Ghana and 76% in Côte d’Ivoire,
activities, processes, and monitoring and verification where we have a sustainable cocoa butter program.
systems.
Aside from implementing robust traceability systems
that allow us to accurately identify the exact origin of our
cocoa beans, we implemented processes and procedures
to onboard new and monitor existing farmers. This in-
cludes GPS mapping the farms in our supply chain. Hav-
ing full visibility of where farmers are located is a key step
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An important pillar of our No-Deforestation & Agrofor-
estry Action Plan is training & knowledge transfer. Our
Farming Program curriculum includes good agricultural,
social, environmental practices, and it is adapted and im-
proved on a continuous basis. As the Farming Program
has been running for several years in many origins and
is well-established, new training methodologies and top-
ics are being included. Environmental training modules
are becoming more important as trainings on No-Defor-
estation and conservation principles in agriculture are
being rolled out. As a first step, the capacity building
of the field staff is provided to ensure the team has the
knowledge to train the farmers. The knowledge transfer
on HCV/HCS training is done by our partner Earthworm
Foundation. The concepts behind the Action Plan are
transferred into practical guidelines for farmers, for
example guidelines on farm extension or the protection
of riparian areas and water bodies. Agroforestry trainings
Identification and protection of valuable forest patches In Madagascar, an in-depth landscape assessment is per- (see below) have been introduced for a small group of
in cocoa producing areas formed to identify priority zones for conservation and farmers and should be scaled to all the farmers in the
In 2020, we continued our collaboration with the ▶ Earth- carbon stock (HCV and HCS), ecological restoration, and coming years. This will deliver environmental value in
worm Foundation to better understand and protect valu- diversified cocoa production. The results will be integrated addition to benefits to farmers and the community in
able forest patches close to the farms in our supply chain. into a landscape management plan which will be devel- terms of diversifying incomes and improving food secu-
To this end, we piloted an integrated High Carbon Stock oped and managed by a local governance body in the rity. In the CFI origins, trainings on Climate Smart Cocoa
(HCS) / High Carbon Value (HCV) assessment within the frame of a multi-stakeholder landscape project. (CSC), in which farmers learn about the effects of climate
supply chain in the Enchi district of Ghana last year. The Conducting HCV/HCS assessments is a resource-in- change on their cocoa production and how to mitigate
▶ High Carbon Stock Approach (HCSA) is a methodology tense exercise due to the wide dispersion of farms across these negative effects, was scaled to a major group of farm-
that distinguishes forest areas for protection (together different regions in each origin. Therefore, we are inno- ers, and will be provided to all the farmers in our sustain-
with HCV) from degraded lands with low carbon and vating with the Earthworm Foundation to identify and ability programs in the next two years.
biodiversity values. Our work in Enchi continued with a manage conservation areas at the farm level. The meth- Along with the curricula, training methods are in-
study on potential incentive mechanisms to protect valu- odology of “Holistic Farm Plans” will be developed and creasingly shifting from general group trainings to more
able, unprotected rural forests through engagement with piloted in our two supply chains in Ecuador with the aim tailored capacity-building workshops based on farmer
farmers and communities. Once available, the results will to support farmers by co-creating a vision for the devel- segmentation. Further, in many supply chains, trainings
provide insights to the discussion around potential en- opment of the entire farm in accordance with conserva- are complemented with coaching visits and the provision
gagement and incentive schemes for forest conservation tion principles through participatory engagement with of farm development plans tailored to the needs of the
at farm and community level. the farmers and their families. The pilot will specifically farmers. The more personalized support to farmers helps
engage farmers close to protected areas. keep them motivated to participate in the Program.
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Distribution of multi-purpose shade trees By combining the agroforestry-related support with train-
and promotion of agroforestry ings on holistic farm management and climate-smart
Promoting agroforestry systems continues to be a prior- agriculture, we look to support our farmer base by creat-
ity for Lindt & Sprüngli. In season 2019/20, shade tree ing greater economic resilience.
distribution was scaled up in all our origin countries. We
distributed 876,036 shade trees (of which 809,964 in CFI Investments in productivity, additional income
origins), now totaling 2,263,103 multi-purpose shade trees opportunities and access to financial products
distributed since our efforts started. Shade trees were Complementary to farmer trainings and the promotion
planted on farms as well as in riparian buffer zones, where of agroforestry systems, we continued to make invest-
necessary. ments to increase productivity and support farmers in the
We further worked on monitoring and gaining a better creation of additional income generating activities and
understanding of the challenges and critical success factors access to financial products. In many origins, income di-
of implementation, for example, regarding the survival rates versification workshops and financial literacy trainings
of shade trees in the field. To this end, we started several are currently being scaled up.
projects with specialized organizations to assess our current In Madagascar, after an analysis of the most suitable
efforts, identify gaps and build the local staff’s capacity to supply chains for farm and income diversification, we will
support farmers to establish and optimize agroforestry. launch trainings on ginger, vanilla, small livestock and
In Ecuador we engaged ▶ ECOTOP, an organization honey production in season 2020/21. As a complementa-
specialized in dynamic agroforestry methods, to support ry measure, we accelerated the establishment of new Vil-
the implementation partners by helping them to design lage Saving and Loan Associations (VSLA) groups to
and establish dynamic agroforestry demonstration plots. support communities. In the Dominican Republic, we
These are tailored to the local conditions in Ecuador and facilitated access to a savings cooperative. In Papua New
for different types of farms. In dynamic agroforestry, the Guinea, farmers were supported to open bank accounts.
farm functions as a system so that external inputs become In Ghana, 50 new VSLAs were set up in Farming Program
redundant. During season 2019/20, the first five plots were communities within the season, bringing the total to 137
established, properly managed and maintained through- functioning VSLAs with 3,014 members. The Farming
out the year with remote support from ECOTOP. The plots Program in Ghana further provided training on addi-
have raised the interest of farmers, as the first food crops tional income opportunities to 19,543 farmers (30%). As
were harvested. The work has shown that farmers must a result, 10,755 of the farmers were able to generate ad-
be accompanied very closely during the starting phase, ditional non-cocoa income. Furthermore, we defined
which is highly resource intense. Additionally, farmers eligibility criteria for a new revolving fund designed to
are interested in what crops fit into the agroforestry mod- support farmers’ adoption of alternative income-gener-
el and can also be sold on the local market. The aspect of ating activities. Twenty eligible farmers are so far regis-
marketing the multiple crops produced on dynamic agro- tered to benefit from the revolving fund once it launches
forestry farms needs further attention in the near future. in the 2020/21 season.
In Ghana and the Dominican Republic, we have part-
nered with research institutions to evaluate our current
actions and define how our approach could be strengthened.
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sources from, are now linked to landscape initiatives. In competing interests in this multifunctional landscape. In
the Kakum and the Juabeso / Bia West landscapes, two the first months of the project, the landscape assessment
key sourcing regions in which protected areas are sur- started to identify High Carbon Stock (HCS) and High
rounded by cocoa farmers, we have partnered with the Conservation Value (HCV) areas: the priority risk zones
▶ Nature Conservation Research Centre (NCRC), a local for deforestation. Further, a stakeholder analysis and first
organization specialized in community-based conserva- multi-stakeholder meetings were performed to build up
tion (see ▶ Project Factsheet Kakum Sustainable Cocoa a locally rooted governance system.
Landscape) and support two projects. Both projects will
build on existing community-based resource-manage- Active participation in sector initiatives
ment structures to build a functioning, well-integrated As part of the activities to implement our Action Plan, we
local governance system for landscape planning and pres- are signatories of the ▶ Cocoa and Forest Initiative (CFI).
ervation. To this end, we collaborate with our farmers Through this partnership, we engage with other key play-
and suppliers, as well as other companies, farming com- ers in the cocoa and chocolate industry, as well as the
munities and local authorities. To better assess the impact governments of Ghana and Côte d’Ivoire, to stop co-
of such collective action for conservation, we participate coa-related deforestation. Specific CFI indicators are in
in testing a monitoring & evaluation approach to measure the annex of this report (see page 26) and cover the Farm-
progress at the landscape level (see ▶ Project Factsheet). ing Program and our sustainability programs for cocoa
Its development is co-funded by the ▶ Lindt Cocoa Foun- butter in Ghana and Côte d’Ivoire. Further, we continued
dation. Additionally, the two landscape projects will pi- our active participation in the Biodiversity & Ecosystems
lot ▶ Landscale, a sustainability standard for landscapes. working group of the ▶ Swiss Platform for Sustainable
The ▶ Asunafo-Asutifi Landscape programme, our third Cocoa. This working group promotes information ex-
Engagement in collection action at landscape level engagement at the landscape level in Ghana, was recent- change and learning between all members and takes a
As announced in the previous progress report, we iden- ly initiated by the World Cocoa Foundation (WCF) in leading role in defining the biodiversity targets, which
tified landscape initiatives relevant to our supply chains partnership with ▶ Proforest and several CFI member will be a crucial element of this multi-stakeholder initia-
to work towards climate-resilient and deforestation-free companies. tive in the future.
landscapes in partnership with other actors. We made In Madagascar, we launched a multi-stakeholder land-
good progress regarding our engagement in supporting scape project (▶ Project Factsheet) in collaboration with
landscape-level efforts and are currently engaged in four ▶ Helvetas Swiss Intercooperation (Helvetas), the ▶ Swiss
initiatives, three in Ghana and one in Madagascar. All State Secretariat for Economic Affairs (SECO), ▶ Earth-
long-term engagements just started and considerable ef- worm Foundation, the ▶ University of Berne and other
forts will be needed to successfully implement them. private sector partners. The collaborative efforts target
In Ghana, our sustainable cocoa comes from four out the cocoa-producing region of the Sambirano valley and
of six Hotspot Intervention Areas (HIA). HIAs are pri- aim for sustainably managed landscapes to contribute to
ority cocoa production regions in proximity to important resilient livelihoods for the local population, and for defor-
forest reserves and national parks. The areas were defined estation-free cocoa production. The project, coordinated
by the government as priority areas for coordinated sus- by Helvetas, supports the development and implementation
tainability efforts. Three of the four HIAs our company of an adequate planning instrument that considers the
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Status of No-Deforestation & Agroforestry Action Plan per origin
New Guinea
Madagascar
Dominican
Republic
Ecuador
Ghana
Papua
The activities of our Action Plan are structured along Activity Description
the four pillars of the Lindt & Sprüngli Farming Program. GPS Farm Mapping Cocoa plots of all farmers are GPS mapped (polygon or point; in buffer
The details in the individual origin action plans and de- zones and close to protected forests always polygon).
fined priority activities vary due to different local cir- Check legality of farm locations Farm points/maps are compared with official protected forest maps,
and legality of farm location with regards to protected forests checked.
cumstances. The tables below summarize progress on
Follow-up actions of farm mapping a) Farmers already in the Program:
the implementation of activities within each of the five and legality check In case legality check reveals issues, they are reported and solved,
Lindt & Sprüngli Farming Program cocoa bean origins. together with the respective local authorities/institutions and farmers.
b) Farmers newly joining the Program:
1. Traceability and Farmer Organization In case legality check reveals issues, farmers are not allowed to join the
Ensure no cocoa sourcing from protected areas, Program, and reported to the respective local authorities/institutions.
and no expansion of cocoa cultivation into forests Notification when extending farms All farmers are informed that they have to notify field staff when they
extend their farms (either extension of existing farm or establishing new
farm), so that farm mapping followed by legality and HCS/HCV area
check can be made, and if necessary, farm expansion into forests can
be avoided. If internal monitoring or external verification reveals that
farmers still expanded into HCS/HCV, or if expansion into HCS/HCV is
made without notifying field staff, they are excluded from the Program.
fully implemented New farmers joining Program Farmers that join the Program and passed the legality check, but farm
on land that was deforested until 4 years before joining the Program,
partially implemented are prioritized for agroforestry systems.
not yet implemented Traceability up to Lindt & Sprüngli Every cocoa bean delivery is traceable up to Lindt & Sprüngli. We
receive traceability certificates, indicating locations and farmers behind
deliveries. At all levels, cocoa is clearly marked and kept segregated.
improvement
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New Guinea
Madagascar
Dominican
Republic
Ecuador
Ghana
Papua
2. Training and Knowledge Transfer Activity Description
Ensure field staff and farmers are capable of implement- Training of field staff All field staff is trained on the content and implications of
ing our No-Deforestation & Agroforestry commitment this Action Plan.
Farmer trainings All farmers are sensitized and trained on:
– This Action Plan (content and implications), including the
importance of a mid- and long-term view for their farm prosperity
– Good Agricultural Practices (GAP), with focus on higher yield
per hectare
– Good Environmental Practices (GEP), with focus on organic
farming methods, biodiversity, forest protection
– Sustainable intensification, integrated farm management and
farm diversification
– Agroforestry systems, shade management and climate smart cocoa
– Farm renovation and rehabilitation
New Guinea
Madagascar
Dominican
Republic
Ecuador
Ghana
Papua
3. Farmer Investments and Community Development Activity Description
Increase farmer income, reduce pressure on forests, Premiums and productivity Farmers receive a premium per delivered metric ton of cocoa beans,
establish agroforestry systems, protect and restore whenever possible in the form of inputs, tools or services for cocoa
productivity improvement. Further, they are tought on, and receive
forests support for producing their own organic inputs. We will also look at if,
and how we could include Payment for Ecosystem Services (PES) as
part of the premium scheme.
Cocoa seedlings Farmers have access to improved cocoa seedlings, and receive support
in establishing nurseries. Before handing out cocoa seedlings, field staff
verifies that they are planted where no deforestation is caused.
Shade trees Farmers have access to permanent shade trees to establish agroforestry
systems, potentially also through establishing nurseries. We will work
on defining shade trees that have additional benefits (e.g. for soil,
additional income, biodiversity), are locally accepted, and native.
Additional income opportunities Farmers receive training and support for their additional income
generating activities. Attention is paid to avoid additional income
generating activities that could cause further deforestation.
fully implemented
(Community) partnerships for forest We will initiate or participate in projects whereby communities and/or
partially implemented protection and restoration individual farmers located close to protected and other HCS/HCV
areas are supported in protecting and (where necessary) managing
not yet implemented these areas. Further, we will support reforestation efforts in line with
land use planning and landscape approaches to foster resilient and
thriving landscapes.
improvement
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New Guinea
Madagascar
Dominican
Republic
Ecuador
Ghana
Papua
4. Verification and Continuous Progress Activity Description
Make sure we deliver on our commitment, activities Internal Performance Monitoring As part of the on-farm internal performance monitoring visits, covering
can continuously be improved, and ultimately show all farmers in the Program, the implementation of this Action Plan (and
specifically the adoption of farmers) is monitored on a yearly basis.
the intended results
External Assessments The Earthworm Foundation is assessing the Program in all origins on
a yearly basis, including implementation of ths Action Plan, and gives
fully implemented recommendations for improvement.
Satellite Monitoring We piloted Starling in Ghana, and are currently evaluating how we can
partially implemented use satellite monitoring to monitor our no-deforestation commitment
going forward, ideally with a collaborative approach.
not yet implemented
improvement
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Insight: Collective Action through
the Landscape Approach
Context The Landscape Approach Relevance for Lindt & Sprüngli
Deforestation and the resulting implications for carbon The Landscape Approach implies a collaboration of mul- Initiatives at a landscape level will be important to achieve
emissions and biodiversity loss are among the most sig- tiple stakeholders in a landscape across different econom- the objectives of our ▶ No-Deforestation & Agroforestry
nificant sustainability challenges. The last decades of ic sectors to reconcile competing social, economic and Action Plan. Participating in programs at a landscape
sustainable sourcing efforts addressing environmental environmental objectives. A landscape is understood by level in different locations permits us to coordinate and
and social conditions at farm-level has proven that these visible features of an area of land, its landforms, and how align our Farming Program activities with the vision,
issues reach far beyond the boundaries of individual they integrate with natural or man-made features. It in- norms and values of the local communities, governments
farms. Often, they are systemic in nature and closely con- cludes elements of geophysically defined landforms such and other private sector actors. By ensuring all stakehold-
nected to rural communities and other actors in a cocoa as mountains, hills, water bodies; living elements of land ers work towards the same goal, we achieve bigger impact.
landscape. To achieve significant impact over time, issues cover including indigenous vegetation; human elements While the Landscape Approach is no silver bullet, it is a
cannot be solved by one single company supporting a including different forms of land use, buildings, and good way of collaborating and working on issues that
limited number of farmers linked to its supply chain. In- structures; and transitory elements such as lighting and exceed the ability of individual actors to respond at scale.
stead, impactful change requires scale, collaborative ac- weather conditions. Combining both their physical ori- This engagement is complementary to our Farming Pro-
tion and coordinated efforts with all the stakeholders in gins and the cultural overlay of human presence, often gram, allowing us to engage beyond our own supply chain
a specific landscape. This includes collaboration with created over millennia, landscapes reflect a living syn- (see page 14). With our engagement at landscape level, we
non-cocoa supply chain players present in the same geo- thesis of people and place, that is vital to local and na- aim to create value and help to shape the history of con-
graphical area, whose operations equally impact the local tional identities. servation in cocoa landscapes by developing the first suc-
ecosystem connected to the cocoa industry. A key component of the Landscape Approach is inte- cessful Landscape Approach use cases.
grated landscape management, which builds on locally
embedded governance structures that facilitate commu-
nity-based resource management for forest conservation.
Local governance linked to coordinated action at a land-
scape or regional level enables more effective protection
and restoration of forests. In the cocoa sector, this ap-
proach will be essential to curbing forest loss and achiev-
ing sustainability at scale and over time.
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The Cocoa & Forest Initiative –
Progress 2020
Key performance indicators
As part of our commitment to the Cocoa & Forests Initia-
tive, we started integrating the activities outlined in our
▶ No-Deforestation & Agroforestry Action Plan into our
▶ Lindt & Sprüngli Farming Program for cocoa beans, as
well as our segregated cocoa butter sustainability pro-
grams in Ghana and Côte d’Ivoire. In 2020, our focus was
mainly to scale up activities across all supply chains in
which we work based on long-term partnerships with
suppliers and partners. We are on track to meet the targets
which were set for 2025. We increased the share of cocoa
butter coming from such Programs, adapted our long-
term agreements with suppliers according to CFI targets
and also made achievements in areas where no specific
targets were set.
Indicator 2020
# of farmers in the direct supply chain (=participating in Lindt & Sprüngli Farming Program 75,630
and sustainable butter program)
# and % of farms mapped in direct supply chain 60,480 (80%)
Ghana # of plots mapped in the direct supply chain 103,817
We source sustainable cocoa beans and butter from Ghana. # of farmers trained in Climate Smart Cocoa (CSC) best practices in season 2019/20 29,512
All activities are implemented by our supply chain partners, # farmers informed, trained, and/or consulted on forest policy/law enforcement, 27,234
forest protection, and restoration in 2019/20
while we have our dedicated supply chains on the ground.
By the end of season 2019/20, a total of 75,630 farmers were # of multi-purpose trees (i.e. permanent shade trees) distributed for on-farm planting in 2019/20 661,780
participating in our sustainability programs and were cov- # of farmers trained in Good Agricultural Practices in 2019/20 58,629
ered by our efforts under CFI. # of individuals participating in additional Income Generating Activities (IGA’s) 11,130
# of members of Village Saving and Loan Associations (VSLAs) in the current year 3,928
# of Village Saving and Loan Associations (VSLAs) active in the current year 168
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Indicator 2020
# of farmers in the direct supply chain (=participating in Lindt & Sprüngli Farming Program 17,233
and sustainable butter program)
# and % of farms mapped in direct supply chain 13,172 (76%)
Cote d’Ivoire # of plots mapped in direct supply chain 14,624
We source sustainable cocoa butter from Cote d’Ivoire. # of farmers trained in Climate Smart Cocoa (CSC) best practices in 2019/20 9,711
All program activities are managed and implemented by # individuals receiving Payment for Ecosystem Services (PES) in 2019/20 644
our supply chain partners. Due to the complex nature of
# of multi-purpose trees (e.g. permanent shade trees) distributed for on-farm planting in 2019/20 148,184
cocoa butter production, not all the supply chains are ful-
# of farmers trained in Good Agricultural Practices in 2019/20 13,667
ly dedicated to Lindt & Sprüngli but shared with other
# of individuals in the current reporting year enrolled in a formal financial products and services 1,870
companies. By the end of season 2019/20, a total of 17,233
# of members of Village Saving and Loan Associations (VSLAs) in the current year 55
farmers were participating in our sustainability programs
# of Village Saving and Loan Associations (VSLAs) in the current year 2
and were covered by our efforts under CFI.
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Key challenges and way forward
We have identified overarching challenges for the imple-
mentation of our No-Deforestation & Agroforestry Action Research project to develop methods for remotely Objectives
Plan through engagement with suppliers and partners, estimating shade tree cover & carbon stocks To meet each of these challenges, in this project we will:
including our external assessor, the Earthworm Founda- 1. D
evelop methods to rapidly assess shade-tree
tion. Work is still ongoing to address the complex issues Background cover and carbon stocks in existing cocoa farms,
identified in our previous progress report. Agroforestry – the deliberate inclusion of shade trees across large scales, and repeatedly over time;
in cropping systems – can increase the sustainability 2. D evelop an easy-to-use, cost-effective tool
Data collection and monitoring of cocoa production by supporting high levels of bio- to measure changes in shade-tree cover in
Internal monitoring is a key instrument of the continuous diversity, buffering cocoa from climate changes, miti- cocoa farms, and to monitor progress towards
learning process that we promote in our programs. With- gating future climate change through carbon seques- implementing agroforestry commitments;
in the Lindt & Sprüngli Farming Program, 100% of farm- tration, and encouraging agricultural intensification 3. Develop spatially-explicit recommendations
ers must be internally monitored on an annual basis to without deforestation. Because of these advantages, and for optimal levels of shade-tree cover accounting
track the implementation progress of our Program. Some in response to supply-chain and reputational risks, for locally-varying growing conditions across
of our KPIs, especially the No-Deforestation & Agrofor- chocolate producing companies are increasingly engag- Ghana and the Côte d’Ivoire; and
estry KPIs, require a more sophisticated, time–intense ing in efforts to implement cocoa agroforestry in major 4. D etermine the carbon-sequestration potential
data collection process (e. g. counting of shade trees per producing countries. However, this effort is currently of cocoa agroforestry.
hectare). To increase data accuracy and go beyond simply hampered by limited information on current levels of
surveying farmers, suppliers have started work with ad- shade-tree cover and carbon stocks in individual farms Outcomes
ditional data collection based on small samples to verify and across entire regions; and the lack of an efficient, The project outcomes are expected to be a prototype of
KPIs. Through data analysis and collaboration with our cost-effective tool to monitor progress on their agro- a digital tool that will allow remote monitoring of
suppliers we have found some data inconsistencies across forestry initiatives and commitments. Moreover, im- shade-tree cover and carbon stocks in cocoa farms over
years and origins. This could be related to unclear guid- plementing agroforests in a way that does not compro- time as well as recommendation for optimal shade-tree
ance and definition of KPIs or limited data reliability of mise production requires recommendations for optimal cover and estimates of the carbon sequestration poten-
data from internal monitoring surveys. As no technical, levels of shade-tree cover across large geographic re- tial of Ghanaian cocoa farms. These outcomes will be
automated solutions to measure outcomes are available, gions while accounting for locally variable growing useful for monitoring and evaluation of industry-led
we will increase our efforts to provide better guidance on conditions. Using available methods, developing such agroforestry initiatives and will allow planning of sci-
KPIs and data collection methodologies. recommendations is currently not possible. entifically informed implementation of agroforests
with targeted distribution of shade trees and predic-
tions of carbon-sequestration from on-farm tree plant-
ing across Ghana. The first results are expected in 2022.
More information, see ▶ Project Factsheet
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Identification and protection of HCV and HCS areas Former Program farmers located in protected areas
Many of the activities in our Action Plan require visibil- As part of our commitment, we have performed legality
ity of HCV and HCS areas. These are forests and areas checks of farms and identified 3,536 farmers who are op-
which may not be legally protected, yet are ecologically erating illegally in protected areas. All these farmers have
important and which we are committed to protecting. already been part of the Lindt & Sprüngli Farming Pro-
However, conducting such assessments is highly resource gram before the CFI implementation. We already ceased
intense. Once the results are available, it is yet another cocoa sourcing from these identified farmers in the
challenge to find practical solutions to designing and 2018/19 cocoa season. However, the concerned farmers
funding relevant incentive mechanisms for farmers and are still in the Program for continuous monitoring and
communities which will lead to their active participation ensuring that they do not expand their lands any further.
in protecting forest areas and restoring important habi- Meanwhile, we are waiting for official guidance on what
tats. Therefore, we believe it makes sense to integrate such needs to be done with these farmers, and how we can
assessments into collective initiatives by industry and support potential transitions, and/or updated forest
other stakeholders. Efforts should define locally adapted boundary maps, which might show different legal status
and embedded strategies to support and incentivize local of the concerned farms. Farms and farmers found in pro-
actors to engage in forest conservation, beyond individ- tected areas will be shared with the government based on
ual farmers in a company’s supply chain. In parallel, prac- CFI guidelines, once social safeguards are functional.
tical tools to apply the HCV and HCS concept on a mi- Once policies and procedures are clear, we will engage
cro-level should be developed. As described on page 12, with local authorities, our suppliers, and farmers to find
we are currently running a pilot in Ecuador to test such solutions regarding their future presence and cocoa pro-
a methodology. duction activities in these areas.
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Scaling agroforestry efforts
Promoting the transition towards agroforestry systems in
cocoa production is one of our main commitments and
continues to be a priority in the coming years. After scal-
ing shade tree distribution and gaining a better insight
on the challenges and critical success factors of imple-
mentation, we have established collaborations with expert
organizations to support our partners and make sure the
field staff has the capacity to train farmers in agroforest ry.
However, there are other key issues to support a more
radical transformation of agroforestry systems, for exam-
ple creating market access and linkages, securing land
tenure, or making agroforestry attractive for farmers
through Payments for Ecosystem Servicces (PES). While
the creation of new markets for agroforestry products
requires closer collaboration and coordination of distrib-
Satellite monitoring & deforestation risk assessments in the Cocoa & Forests Initiative. To help realize effective uted trees at the landscape level, the possibility of land
Various real-time satellite monitoring technologies to landscape partnerships, and contribute to deforestation tenure and tree registration also influences the attractive-
monitor risk of forest encroachment associated with sup- monitoring, the World Cocoa Foundation (WCF) and ness of planting and maintaining trees on cocoa farms.
ply chains have been developed in recent years. Satellite Climate Focus in partnership with the World Resources To date, unfortunately, no affordable and scalable model
monitoring and deforestation risk assessments are cur- Institute (WRI) are further working with companies to for providing farmers with land titles or services to reg-
rently performed by our suppliers. For satellite monitor- develop a comprehensive dataset of cocoa plot locations ister trees exists. In Ghana, we have run a pilot for a ser-
ing to be impactful, we believe that technology is just the in the direct supply chain and an aligned method for as- vice delivery model for land document with a service
starting point. Once tools allow for real-time detection of sessing deforestation risk. An aggregate view of cocoa plot provider. To enable farmers to receive their land title,
forest disturbances, alerts must be verified in the field. locations across West Africa will provide a basis for iden- Lindt & Sprüngli has pre-financed the service, while farm-
This data will permit answering key questions on legality, tifying opportunities for pre-competitive collaboration. ers were asked to claim their land paper and pay for the
drivers of deforestation and potential solutions to address Paired with the outputs of the risk assessment, collabo- service only once the documentation is available. Of the
the challenges. To move towards action, common defini- ration can proceed in the areas that matter most for ad- 89 farmers who participated in the project, only 52%
tions, monitoring methodologies and tools will hopeful- dressing deforestation. The risk assessment will be made claimed their land title and paid for the service. The proj-
ly enable a collective effort by industry and governments available as a freely accessible public good through WRI’s ect has demonstrated that the costs for receiving land
to create joint monitoring and remediation mechanisms Global Forest Watch platforms to help drive aligned de- documentation is too high and we are currently evaluat-
on the ground. This is a pre-condition to drive action, forestation risk management across the cocoa sector for ing options to reduce the costs, either by adopting a dif-
especially in regions where non-cocoa related sectors, impact at scale. ferent pricing model or seeking co-funding from other
such as mining, have become important drivers for de- Complementary to our participation in these joint ef- actors in the sector. Finally, payment for ecosystem ser-
forestation. forts, we engage in landscape programs which aim to build vices seems an attractive concept to support farmers for
Lindt & Sprüngli supports current efforts by the gov- local governance structures that could potentially facili- maintaining their trees on farms. However, financing of
ernments of Ghana and Côte d’Ivoire to develop national tate the implementation of mitigation measures in the such schemes (if not connected to carbon credits) is still
satellite monitoring platforms through our membership long-term. an issue and requires new schemes with multiple actors
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contributing financially.
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